An audit released Thursday found the
pharmacy director at UNC Hospitals, which also
provides service to the University of North Carolina
at Chapel Hill, received travel and phone
reimbursements from the hospital and the school for
the same expenses.
The
audit, which doesn't name the director, also
documents several instances where he was reimbursed
for travel and phone expenses related to his family,
which according to State Auditor Les Merritt, is
against state law.
UNC Hospitals' public affairs office confirmed that
Director James C. McAllister III is the subject of
the auditor's investigation.
The university reimbursed McAllister
$1,201.77 for a trip his son took to Las Vegas,
according to the audit. McAllister said he
unintentionally submitted the expense report and
reimbursed the school the full cost of his son’s
trip.
McAllister also submitted two expense reports for a
business-related trip to Miami, the report found.
The hospital and the university each reimbursed him
$534.39 for the same airline ticket. On another trip
to Cincinnati, the report found, he double-billed
the hospital and university for his meals. In both
cases, he placed the blame on an administrative
assistant.
The audit also found the hospital and university
reimbursed McAllister more than $3,400 for phone
service on two different lines. According to
Merritt, at least one of those phones was used by
McAllister's son. The auditor’s office also found a
pattern in which he routinely requested
reimbursement for the telephone number with the
highest monthly charges.
The auditor requested McAllister repay all of the
duplicate reimbursements and face punishment from
UNC Hospitals. In their response to the audit, UNC
Hospitals and UNC-Chapel Hill agreed with the
findings and said management is evaluating internal
controls.
A letter from UNC Hospitals President Gary Park also
said McAllister would be disciplined according to
internal policy, but the letter does n't say what
the punishment would be.
